IWG Iwg Plc

TIDMIWG TIDMTTM

RNS Number : 2963E

IWG PLC

29 June 2023

29 June 2023

IWG REFINANCES AND EXTENDS DEBT MATURITY, UPDATES ON OUTLOOK

IWG Plc (the "Company") is pleased to announce an update to its financing and capital structure prior to H1 2023 results, due to be released on 8 August 2023. This includes having:

-- Extended maturity of its Revolving Credit Facility ("RCF"), resulting in no Group debt maturing before November 2025;

-- Confirmed of strategy to build Worka and seek to crystalise value through reducing its ownership stake in the medium term; and

-- Continued to reduce net debt through cash flow generation.

Debt maturity

Summary of IWG debt facilities

 
Post update                              Pre update 
---------------------------------------  --------------------------------------- 
Description           Maturity           Description           Maturity 
--------------------  -----------------  --------------------  ----------------- 
GBP875m RCF facility  November 2025      GBP750m RCF facility  March 2025 
GBP350m (face value)  December 2025 put  GBP350m (face value)  December 2025 put 
 convertible bond      option, maturity   convertible bond      option, maturity 
 0.5% coupon           December 2027      0.5% coupon           December 2027 
GBP330m acquisition   Extinguished       GBP330m acquisition   September 2023 
 bridge                                   bridge, GBP125m 
                                          outstanding 
 

As a result, IWG has no financial debt which matures before November 2025. As previously announced, pro-forma net financial debt at 31 March 2023 was GBP683m.

The initial acquisition bridge of GBP330m in March 2023 has been reduced by GBP205m to GBP125m through cashflow generation and is now extinguished entirely.

Apart from the sizing and tenor described above, no material terms, such as pricing, of the RCF have changed.

Outlook

The Company remains cautiously optimistic for the remainder of 2023, and despite the strengthening of Sterling, management has not changed its financial expectations for FY 2023.

IWG and Worka continue to trade well. IWG remains committed to reducing its ownership stake in Worka in the medium term.

The Company is well-positioned to continue to take advantage of future growth, its capital-light strategy and year to date has made improvements on all core KPIs since December 2022.

IWG is looking forward to making its H1 2023 results announcement on 8 August 2023.

 
Further information 
---------------------------------------  ------------------------------------ 
IWG plc                                  Brunswick Tel: + 44 (0) 20 7404 5959 
Mark Dixon, Chief Executive Officer      Nick Cosgrove 
 Charlie Steel, Chief Financial Officer   Peter Hesse 
 Richard Manning, Head of Investor 
 Relations 
 Tel: +44 (0) 7901 763 935 
 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.

END

TSTBRGDLRGDDGXI

(END) Dow Jones Newswires

June 29, 2023 02:00 ET (06:00 GMT)

Iwg (LSE:IWG)
Gráfica de Acción Histórica
De Abr 2024 a May 2024

Iwg (LSE:IWG)
Gráfica de Acción Histórica
De May 2023 a May 2024